Labor SMART, Inc. (OTCQB: LTNC), a leader in providing on-demand blue collar staffing primarily in the southeastern United States, today provided an update on its business strategy and highlights from preliminary 2nd Quarter 2015 results.
"To say we've had a very active and productive first half of 2015 is an understatement. In addition to strengthening our core business during the 2nd Quarter, Labor SMART has been actively engaged in a number of exploratory conversations with various parties seeking opportunities to leverage our existing infrastructure and sales channels. Potential opportunities could include licensing the Labor SMART brand, sales and service partnerships, or franchising. And as expected, we have been approached by several competitors seeking to acquire some or all of our operations, or seeking arrangements to operate in a partnership capacity with us in new markets," stated Ryan Schadel, Chairman and Chief Executive Officer of Labor SMART. "Our business is performing well and we have some very exciting opportunities to assess. I am particularly excited about ongoing developments with Skill Corps, a business unit we launched earlier this year. The potential scalability of the Skill Corps conc ept could be a game changer, not just for Labor SMART, but for the staffing industry. I look forward to providing more substantial updates about progress with Skill Corps in the near future."
"In line with our shift in strategy to focus on profitability, a number of underperforming branch locations were closed at the beginning of the 2nd Quarter of 2015. Additionally, we continue to reduce our exposure to low margin business, which is noticeable in our increasing profit margins," said Mr. Schadel. "I expect to report top line revenue of $6.37 million for the quarter ended June 26, 2015 with record gross profit margins in our upcoming 10Q."
RECENT ACHIEVEMENTS AND MILESTONES
- Added over 300 new clients during Q2
- Mobile website launched
- Large Deductible Insurance Program renewed with a 30% reduction in funding cost
- Entered into an agreement to provide CDL drivers to a large international package delivery company
Mr. Schadel also noted that Labor SMART is still actively seeking acquisition opportunities in on-demand staffing as well as other segments of the staffing and human resources industry or industries with similar metrics and infrastructure requirements.
About Labor SMART, Inc. Labor SMART, Inc. provides On-Demand temporary labor to a variety of industries. The Company's clients range from small businesses to Fortune 100 companies. Labor SMART was founded to provide reliable, dependable and flexible resources for on-demand personnel to small and large businesses in areas that include construction, manufacturing, hospitality, event-staffing, restoration, warehousing, retailing, disaster relief and cleanup, demolition and landscaping. Labor SMART believes it can make a positive contribution each and every day for the benefit of its clients and temporary employees. The Company's mission is to be the provider of choice to its growing portfolio of customers with a service-focused approach that enables Labor SMART to be seen as a resource and partner to its clients.